Alibaba Not Taking Stake in Qihoo 360, Shares Drop

NEW YORK (TheStreet) Despite rumors to the contrary, Alibaba has no plans to take a stake in Qihoo 360 (QIHU).

Earlier today, the news service Brightwire reported that Alibaba, which is partially owned by Yahoo! (YHOO), had reached an agreement to take a stake in Qihoo 360, citing three sources close to the matter while offering no further details.

When reached for comment, an Alibaba spokesperson said the company had no plans to invest in Qihoo 360, refuting the Brightwire report.

Shares of Qihoo 360 were falling 2.6% on Thursday to $93.43, trimming its advance over the past six months to 62%.